Cloud computing market estimated to reach USD 41.7 Billion in 2017

According to the latest forecast of International Data Corp, the total spending on IT infrastructure products for deployment in cloud environments is projected to increase by 15.3 percent this year, reaching a total value of USD 41.7 billion. This figure includes spending on servers, enterprise storage and Ethernet switches.

In its forecast titled Worldwide Quarterly Cloud IT Infrastructure Tracker, IDC says pubic cloud datacenters will account for the majority of this spending, estimated to be 60.5%. Off-premises private cloud spending is expected to account for another 14.9% of spending. On-premises private clouds will account for 13.1 % of the total.

Natalya Yezhkova, Research Director for Storage Systems at IDC said:

After the slowdown seen in 2016, we expect to see spending on IT infrastructure for public cloud deployments return to double-digit growth in 2017. Growing demand for access to agile IT resources and proliferation of next generation workloads will continue driving adoption of cloud-based services. In turn, this move leads to a shift in IT infrastructure spending from traditional enterprise on-premises deployments to datacenters delivering cloud services and corporate private clouds.

Investments in cloud IT infrastructure will increase across all regions, while the majority of regions expect to see a reduction in spending on non-cloud deployments, the IDC report notes.

Long-term, IDC says it expects spending on off-premises cloud IT infrastructure will grow at a five-year compound annual growth rate of 11.7% and reach a value of USD 47.2 billion in 2021, with public cloud datacenters accounting for 80.4% of that amount.